Rates cut to 2%

[Admiral Huddy]

It's a good time to pay off some of that capital since rates are so low. Keep the re-payments as they were when they were around 6.5% and long term it could save you a few years off your mortgage.

[TinkerBell]

Haven't got a mortgage so it is just cutting what I gain from saving really. But if it helps out my family and friends then I don't mind

[Wryel]

No savings, all my loans are fixed, nothing doing nothing. Let's hope they're sky high in two years time when I can start saving.

[Nutcase]

Fixed rate at 5.15 % but can comfortably afford the payments, and the getout fees are astronomical, so not overly worried.

However, I really want to take out an unsecured loan, but can't find anywhere willing to loan at a decent rate, despite having a very good credit rating

[A Place of Light]

I'm looking at property now, but I think the perfect time to buy will be between Jan 1 and Easter 2009. The need for a 25% deposit is a pain though.

[Tak]

Originally Posted by A Place of Light

I'm looking at property now, but I think the perfect time to buy will be between Jan 1 and Easter 2009. The need for a 75% deposit is a pain though.

75%?!?

[A Place of Light]

Originally Posted by Takhisis

75%?!?

If you want a decent mortgage, yeah

^^^
Just realised that should've read 25%, lolz.

[Mark]

Originally Posted by A Place of Light

but I think the perfect time to buy will be between Jan 1 and Easter 2009.

Not sure about that. Most commentators seem to think there is room for another 10% drop in prices, with a few on the margins suggesting that could be nearer 30%.

From a purely traditional standpoint, you're right in that that should be the quietest time in the market, but does anything traditional besides hoarding cash like it was going out of fashion apply at the moment?

[A Place of Light]

Originally Posted by Mark

Not sure about that. Most commentators seem to think there is room for another 10% drop in prices, with a few on the margins suggesting that could be nearer 30%.

From a purely traditional standpoint, you're right in that that should be the quietest time in the market, but does anything traditional besides hoarding cash like it was going out of fashion apply at the moment?

Well, prices are dropping in the region of 2%/month at the moment, so waiting until easter would give you the 10% drop you mention. Nobody can time this to perfection, just like nobody sells shares at the perfect time.

You also need to remember that the main property companies will only discount existing completed homes, as they're the ones that the company has money tied up in. Those in partial construction will simply be mothballed until the market picks up again. Once they've been snapped up, the market will slowly start to regain lost ground. Remember, supply and demand has a part to play in all of this.

[Mark]

Originally Posted by A Place of Light

Remember, supply and demand has a part to play in all of this.

Oh, I'll not forget that (A-level Economics student). If only it were that simple - there's plenty of housing supply, and up until recently there was reasonable housing demand, but that all means squat if there's no supply of loans to make it happen.

Right now if you have cash in hand you're in a bloody good place to snap up a bargain. Some prices have come down by around 7% in the last week alone.